Understanding Texas SB 140: Amendment to Expand the State's Telemarketing Rules to SMS

Revised 11/24/2025 and includes updates based on the latest developments.

Effective September 1, 2025, Texas Senate Bill 140 expands the state's telemarketing rules to include sales-related text messages. Here's what you need to know stay ahead of these changes.

Key Points to Know

• SB 140 will treat certain sales-related text messages as "telephone solicitation" under Texas law.
• Businesses sending these messages to Texas residents may need to register with the state, pay a $200 annual registration fee, and post a $10,000 bond. 

  
  NEW UPDATE:
  A recent court order clarified that businesses sending only consent-based text messages (i.e., messages sent to recipients who have explicitly opted in) are exempt from the Texas registration and bonding requirements under Chapter 302.

  • This exemption applies when the text is sent to a mobile number as part of a service the consumer has agreed to receive.

  • The Texas Secretary of State has committed to publishing guidance confirming this exemption and to seek an Attorney General opinion reinforcing it.

  • If you have valid prior consent for every recipient and do not text outside that consent, you may not need to register.

  (All other provisions of SB 140 still apply.)

• While there is some debate, this law may also apply to Texas-based businesses sending sales-related text messages to any geography. 
• Exemptions exist for some businesses, which are explained below.
• Message Timing Guidelines: While it’s not yet fully settled whether Texas’s 8 a.m. to 9 p.m. restriction on telemarketing applies to text messages, we recommend that you send marketing messages only during these hours to help reduce compliance risk and provide a better subscriber experience.
• Lawsuits can be filed immediately and legal risks for customers can be costly:  Up to $5,000 per violation (possibly per message), as well as lawsuit awards for economic and mental anguish damages and up to 3x damages if the violation was knowing or intentional.
• Federal TCPA laws still apply — prior consent is always required.

Registration Requirements

• Register with the Texas Secretary of State for each business location.
• Submit a $200 annual filing fee.
• Provide a $10,000 security deposit via surety bond, irrevocable letter of credit, or certificate of deposit.
• Submit key business details including principal names, addresses, and sample messages.
• Registration is valid for one year and must be renewed annually.
  
  NEW UPDATE:
  If your text messages are 100% consent-based (you only text subscribers who have explicitly opted in), you may now be exempt from these registration and bonding requirements under the clarified interpretation of Chapter 302.
  
  

  Businesses that cannot document prior consent for all recipients should assume registration still applies.

Exemptions

Exemptions exist for many types of organizations, including:

• Businesses contacting current or former customers and operating under the same name for at least 2 years.
• Publicly traded companies, financial institutions, educational institutions, 501(c)(3) nonprofits, and food marketing businesses.
• Brick-and-mortar retailers operating under the same name for 2+ years with most sales occurring in-store.
• Businesses contracting with exempt sellers (3+ years in operation, 75% of contracts with exempt entities).
• Isolated transactions not part of a recurring or systematic pattern.
  
  NEW EXEMPTION (clarified in 2025):
  Businesses sending sales-related SMS/MMS solely to recipients who have given prior, documented consent (“consent-based text marketing”) are exempt from the Chapter 302 registration and bond requirements.

Best Practice Recommendations

• Review SMS message content to determine if it qualifies as sales-related.
• Determine if you are contacting customers (not just leads or prospects).
• Limit sends to between 8 a.m. and 9 p.m. in the recipient's time zone.
• Always get prior consent before texting.
• Ensure opt-in consent records are clear, compliant, and documented. (Utilize SlickText's audience growth tools to help ensure compliant opt-ins.)
• Consult qualified legal counsel.
  
  

  NEW ADDITION:
  Maintain clear proof of prior consent for every Texas recipient, as this documentation determines whether the new exemption applies.

  Ensure opt-in consent records are clear, compliant, and documented. (Utilize SlickText's audience growth tools to help ensure compliant opt-ins.)
  Consult qualified legal counsel.